Our client, operating in the highly competitive B2C e-commerce sector, was seeking to enhance their online presence and sales through Google Ads. Despite a functioning campaign, their return on ad spend (ROAS) was not meeting expectations. They were achieving sales, but the cost was substantial, eating significantly into potential profits.
Before our intervention, the client's campaigns were marked by a cost-per-click (CPC) of $1.40, a cost per conversion of $22.91, and their ROAS was sitting at 350%.
They needed a revamp to not only drive sales but to do so efficiently and profitably.
Goals
Decrease CPC and cost per conversion to create a more cost-efficient campaign.
Substantially increase ROAS to ensure the profitability of sales.
Boost the conversion rate significantly to capitalize on website traffic and ad interactions.
Challenges
Although sales were being made, the high cost of conversions was overshadowing revenue, indicating inefficiencies within the ad campaigns.
The competitive nature of the e-commerce sector meant standing out against competitors in Google Ads was particularly challenging, necessitating a smarter approach to ad spend.
Achieving a balance between driving traffic and maintaining a healthy ROAS required a strategic overhaul of their current campaigns.
Our Strategy
We initiated a three-pronged strategic overhaul that encompassed site conversion rate optimization (CRO) tactics, refined targeting through enhanced use of audiences and analytics for remarketing, and critical adjustments within the Google Ads settings themselves.
The website’s CRO was pivotal, ensuring that the traffic generated from the ads wouldn’t be wasted. By streamlining the user journey and enhancing key aspects of the site, we aimed to convert a higher percentage of visitors into customers.
In parallel, we delved into advanced audience segmentation and implemented analytics remarketing.
This approach was designed to not only recapture those who had interacted with the site previously but also to ensure that ad content was being shown to a highly relevant, engaged audience.
Finally, we made tactical edits to the Google Ads settings to avoid unnecessary spending, honing keyword strategies, and negative keyword utilization to ward off irrelevant clicks.
The Results
Within a short span of 4 months, the transformation in the campaign metrics and overall e-commerce health was profound.
Our strategic alterations led to a decrease in the CPC down to $0.92 and a dramatic reduction in the cost per conversion to just $10.29.
These shifts were a precursor to the more striking development:
the ROAS catapulted from a modest 350% to an impressive 755%, representing a substantial turnaround in terms of profitability from the ad spend. Moreover, the site’s conversion rate experienced a remarkable growth spurt, jumping up by 53%.
These figures weren’t just numbers but represented a real-world triumph for the client.
They were now not only making sales but doing so in a manner that ensured more revenue was finding its way to their bottom line. This campaign restructuring has positioned the e-commerce client in a stronger competitive stance, allowing them to reinvest in their growth with the confidence that their ad strategy is solidly profitable.